Fannie Mae-No Politics (FNMA)

[kthomp19]

I'm not saying they are a breach. I'm saying they are very similar to the NWS which was a breach. This makes it easier to identify similar or identical breaches in the future.

But you have also used the idea that the LP ratchet was its own breach to contend that Treasury is likely to write down the seniors. That flawed argument can lead to a flawed investment decision (owning the commons on the basis that the seniors will be written down).

You keep forgetting the word "temporary." Economic rights are currently temporarily suspended. Unless you think the Conservatorship and NWS will exist in perpetuity... When it goes away, what happens to the rights?

This is only an argument for why the shares still trade at above-zero prices. It doesn't refute the argument that since the NWS removed all economic rights, no further amendment or agreement can take anything more away.